It just finally solved a big issue that has been a monetary burden on the city and certainly has been a monetary burden on our family," Art Dyas said.

Fairhope plans to spend $8.75 million to acquire land that has been the source of on and off disputes between the city and the land's owners for more than 40 years.

The Fairhope City Council voted 5-0 at Monday's council meeting to allow Mayor Tim Kant to execute an agreement on the city's behalf to buy the 108 acres of land.

The land, which includes 36 acres known as the Triangle, is along U.S. 98 between Section Street and Alabama 104. The Dyas family owns it.

The family accused the city in an April 2008 lawsuit of participating in a "decades-long effort to prevent the development of the property in order to preserve it as an undeveloped entry corridor into Fairhope."

The family will drop the legal claims it has pending against the city in the 2008 lawsuit as a result of the agreement, Kant said.

"Since I have been mayor... this is probably the best decision we have ever managed to do," Kant said.

The agreement is a result of discussions that started between city officials and the Dyas family about 18 months ago, family member Art Dyas said.

The family has gone through more than 40 years of frustration and disappointment because of its inability to development the land in ways that it wanted to, Dyas said.

"But it's kind of a relief now that there has been some resolution between the city and my family that has resulted in basically a win, win," he said. "Both parties are not ecstatic, but both parties are satisfied. When you get that, you've got a good deal."

Kant said the city's goal is to close on the Dyas property on or before Dec. 31.

He said the city plan is to make a $3 million down payment on the property today, using money from a gas fund reserve and an electric fund reserve.

The mayor said $1.5 million will be taken from each of the funds. He said the city will put the money back into the funds over a period of time.

Study: Do not develop Dyas property

The council approved of the mayor executing the agreement after it listened to a presentation during Tuesday's meeting on the Fly Creek Watershed study, and after it met in executive session. The executive session was held behind closed-doors.

The No. 1 recommendation of the study, which looked at ways to protect and preserve the watershed, is for the city to acquire the Dyas property.

There is more than 5,000 acres of land in the watershed, including the Dyas property.

The study suggests leaving the 108-acre Dyas property in its natural state because it provides a wildlife habitat and other benefits for the watershed.

"I hope that it will be this council's and the mayor's intention to further protect this land in the future so that it remains parkland forever and green space forever," Councilwoman Diana Brewer said.

The study suggests that the city also take action on 14 other recommendations in order to protect and preserve the watershed.

The mayor said it will cost about $22 million to fully implement the study.

The city is hoping to get federal RESTORE Acts fund and other money to pay for the project.

The Dyas family vs. Fairhope

The Dyas family's attempt to develop the 108 acres of land goes back to 1972. The city denied a request to rezone the land because commercial development was not being allowed north of the city.

There has been several lawsuits filed over the years as a result of disagreements between the city and the Dyas family in regard to the land.

The most recent litigation was the 2008 lawsuit. It was moved to U.S. District Court in Mobile after initially being filed in Baldwin County Circuit Court.

It alleged that the city thwarted an effort to development of the land owned by the Dyas family, but it bent over backwards to accommodate a project on property across from the family's land.

The land across from the Dyas property now is the site of a shopping center that is anchored by a Publix Super Market.

When a federal judge ruled on the lawsuit in December 2010, he throw out five of the seven claims it alleged.

The lawsuit ended up back in circuit court so two remaining claims could be settled.

Dyas said the family decided to put the lawsuit on hold to see whether an agreement could be reached with the city.

He said everyone involved became comfortable with an agreement after it became clear that the land could be part of a project that might qualify for RESTORE Act funds.

"So realistically it was no brainier for the city, if that occurs," Dyas said. "It just finally solved a big issue that has been a monetary burden on the city and certainly has been a monetary burden on our family."